No law on the number of rent instalments

I reside in a one-bedroom apartment in Discovery Gardens for which the tenancy contract will expire in July. My landlord recently sent a renewal notification demanding an increase in rent.

The increase demanded is as per the recent norms provided by Rera. However, I requested the landlord to permit me to make the payment in four instalments instead of three instalments. Currently I am paying the rent in three instalments. I requested him to accept four cheques for the increased rent from August 1 to July 31, 2015.

The landlord is not prepared to increase the number of cheques. According to him this will be done only if Dh2,000 more is added to the new rent.

My question is, is there any rule/guideline that governs the number of cheque payments that can be done to the landlord?

Is my request to him justified? Is the landlord justified in demanding an additional Dh2,000 towards increase of an additional cheque knowing the fact that he has increased the rent as per the maximum permitted by Rera recently?

It is understood that you are staying at an apartment in the Discovery Gardens area of Dubai and your tenancy contract is due to expire on July 2014.

Further, your landlord has sent you a renewal notification stating hike in your rent pursuant to which you are insisting on payment of your rent through four cheques instead of three as had been the practice. However, your landlord is ready to agree to this arrangement on the condition that your rent is further increased by Dh2,000 for the next year.

Pursuant to your question, it may be advised that there is no specific law or rule which provides any condition as to the number of instalments by which an annual rent may be paid.

However, the law clearly states that all specifications pertaining to the relation between a landlord and a tenant must be properly laid out in the tenancy contract which is required to be registered with the Real Estate Regulatory Agency or ‘Rera’. This is in accordance with Article (4) (amended) of the Dubai Law No 26 of 2007 – ‘Regulating Relationship Between Landlords & Tenants in the Emirate of Dubai’ (the “Tenancy Law”) which states:

“1. The tenancy relationship between landlord and tenant shall be governed by a tenancy contract describing the property in detail, the purpose of the tenancy, period, rent and name of owner if the owner is not the landlord.

2. All properties subject to this law, or its amendments, are to be registered with the Agency.”

Pursuant to the aforementioned provision of law, it may be said that, there is no definitive rule as to the number of instalments one may pay for one’s annual rent. However, for good order, the same may be recorded in the tenancy contract and thereafter registered with the Rera.

The existing laws do not specify anything on the mode of payment of one’s rent.

Therefore, the mode of payment of the annual rent and specifications like the number of instalments and the amount to be paid in each instalment are left to the discretion of the parties to a tenancy contract.

Such matters are negotiable and you are within your rights to request your landlord to change the number of instalments from three to four.

Notice period at Jafza

I am currently working for a company in the Jebel Ali Free zone. Being a woman, my visa is sponsored by my father. As per my company contract I have to serve a three-month notice to leave the company. However, since I am not on the company visa is there any way I can consider a shorter notice period?

It is understood that you are employed by an entity incorporated at the Jebel Ali Free Zone Authority (Jafza) and that your visa is sponsored by your father. At the Jafza, the labour and employment issues are dealt with in accordance with the relevant provisions of the Jebel Ali Free Zone Rules, 2005 (the “Rules”); and it may be presumed that the said rules shall apply to your employment as well.

The Rules provide that an employment or an employment contract may be terminated by either party giving a prior notice of 30 days. This is in accordance with Article 9.9.1 of the Rules which reads as follows:

“9.9.1.

A contract of employment may be terminated as follows:

a) By mutual agreement between the employer and employee and with the approval of Jafza.

b) By the employee or employer during, or at the end of the probationary period (without notice).

c) By the employee or employer giving 30 days’ notice in writing (after the probationary period).

d) On expiry of the service period prescribed in the contract, provided 30 days’ notice NOT TO RENEW is given by either party.”

Further to the aforementioned provision of the Rules, a person employed by a Jafza entity may terminate his/her contract on a prior notice of 30 days.

Since you are on the visa of your father, you may at your sole and absolute discretion decide to serve a shorter notice period. Should you serve a shorter notice period which is not in accordance with the Jafza rules, your employer may withhold your end of service benefits. Therefore it is in the interest of both parties to make a sincere attempt to amicably resolve this issue of the notice period.

---

Ashish Mehta, LLB, F.I.C.A., M.C.I.T., M.C.I.Arb., is the founder and Managing Partner of Ashish Mehta & Associates. He is qualified to practise law in Dubai, the United Kingdom, Singapore and India. He manages a multi-jurisdictional law firm practice, providing analysis and counselling on complex legal documents, and policies including but not limited to corporate matters, commercial transactions, banking and finance, property and construction, real estates acquisitions, mergers and acquisitions, financial restructuring, arbitration and mediation, family matters, general crime and litigation issues. Visit www.amalawyers.comfor further information. Readers may e-mail their questions to: news@khaleejtimes.comor send them to Legal View, Khaleej Times, PO Box 11243, Dubai.